GSP successfully arranged four individual loans on four apartment properties in California and adjacent states with a 20-year fixed rate term and 30 year amortization. The Sponsor sought to take advantage of today’s low interest rates with assets he intends to hold for the long-term. GSP identified a life insurance company with very competitive long-term rates. While initially engaged to secure 10-year fixed-rate debt, GSP presented this 20-year option that better fit his business plan and aversion to future rate fluctuations and balloon risk. The assets are Class-B apartment rentals in secondary locations. The non-recourse rate is fixed at 5.25% for 20 years but amortized over 30 years.
